(1) A local government with land use jurisdiction may present for recordation in the office of the county clerk a notice of designation of substantial damage to a residential structure when the residential structure:
(a) Has sustained substantial damage, as defined in an ordinance for the purpose of regulating development in hazard areas, from flooding; and
(b) Has not been brought into compliance with ordinances regulating development in hazard areas.
(2) A county clerk shall record a notice of designation of substantial damage pursuant to ORS 205.130 (3)(e).
(3) If a local government has caused a notice of designation of substantial damage to be recorded under this section, the local government shall present for recordation a notice of remedy of substantial damage that declares void the notice of designation of substantial damage recorded under this section when the structures that were substantially damaged by flooding have been brought into compliance with ordinances regulating development in hazard areas.
(4) The county clerk shall record a notice of remedy of substantial damage pursuant to ORS 205.130 (3)(e).
(5) This section does not directly, indirectly or by implication limit or alter a preexisting common law or statutory right or remedy, including actions for fraud, negligence or equitable relief.